(Vancouver) Norway’s sovereign wealth fund has said it will back Teck Resources’ plan to split its metallurgical and steelmaking coal businesses into two separate companies at a major shareholders’ meeting next week.
Teck is scrambling to drum up support for its plan as it is targeted by an unsolicited takeover bid from Swiss miner Glencore, which is urging shareholders to reject the company’s plan in favor of its takeover bid .
Glencore said it could not go through with its bid if Teck’s business separation plan goes ahead, as it would make the deal much more complex.
Norges Bank Investment Management, which manages the Norwegian pension fund Government Pension Fund Global, published its voting intentions as part of its usual publications on its website. He held a roughly 1.5% stake in the Canadian miner at the end of 2022.
Teck announced in February a proposal to split its metals and steelmaking coal businesses into two companies, Teck Metals and Elk Valley Resources. This change must be approved by a two-thirds majority vote of Class A shareholders and a two-thirds majority vote of Class B shareholders.
Teck shareholders will vote on the separation plan at a meeting to be held on April 26.